TOTO Guide 2018-2019 - Life Anew

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TOTO Guide 2018-2019 - Life Anew
Life Anew

TOTO Guide
   2018-2019
TOTO Guide 2018-2019 - Life Anew
Corporate Message

                                                    Life Anew
                                         To create a culture of comfortable, healthy living.
                           Since our founding, we have continuously pursued innovations
                                    that offer greater wellness and comfort to daily life.
                            Honoring the trust that our customers and society place in us,
                               TOTO remains dedicated to delivering products that offer
                                 inclusive functionality and respect for the environment.
                               We embrace these values every day to create a future that
                                                       surpasses all expectations.

                                                                                                                               1990s
    The history of
                                                                                           1980s                                        1993
                                                                                                                                        Remodeling Declaration

    TOTO GROUP
                                                        1970s                 1977
                                                                              Established
                                                                              TOTO's first
                                                              1970            overseas joint                                                    Strengthens fundamentals
                                                              Changed         venture
                                             1962             corporate
                                                                                                                                                for pursuing the remodeling
                                                                              company, in                                                       business
                                             Formulated       name to TOTO
                           1917                                               Indonesia
                                             Company          KIKI LTD.
                           Established       Mottos
                           Toyo Toki
                           Company,
                                                                                                                              Embarks on business
                           Limited
                                                                                                                              development in the
                                                                                                                              Americas
                                                    Focuses business on
                                                                                   Embarks on business development
    COMPANY
                                                    new housing
                                                                                   in China and other
                                                                                   parts of Asia
                                                                                                                                        1993
    HISTORY                                                                                                                             Launched the NEOREST EX
                                                                                                                                        integrated toilet

                                                                                                 1980
                                                                                                                Launched
                                                                                                                WASHLETTM
                                                                                                                (toilet seats with
                                                              1976                                              a warm-water
                                                              Launched CS series                                washing feature)
                                                              water-saving,                                                                           1995
                                                              noise-reducing
                           1914                               toilet                                                          1988                    Discovered photocatalytic
                           Successfully developed Japan’s                                                                     Started mass            super-hydrophilicity
                           first seated flush toilet                                               1985                       production of           (TOTO and the University
                                                                                                   Launched the               ceramic electrostatic   of Tokyo)
                                                                          1981                     Shampoo Dresser            chucks
                                                    1963                  Launched the             (bathroom vanity
    PRODUCTS AND                                    Developed Japan’s
                                                    first prefabricated
                                                                          modular kitchen
                                                                          design
                                                                                                   suited for washing hair)

    TECHNOLOGY                                      bathroom modules
                                                    (based on JIS
                                                    provisions)
                            1946
                            Began faucet
                            production

                                                                                                                              1989
                                                    1968                  Cultural and                                        Founded TOTO
                                                    Launched                                                                  Publishing
                                                                             Other              1985
                                                    bathroom vanity
                                                    units                  Activities           Opened GALLERY-MA

                                                      BUSINESS PROMOTION
                                                                                                                  Diversity
                                                          RESOURCES                                                                  1993
                                                                                                                                     Established SUNAQUA TOTO LTD.
                                                                                                                                     to provide a comfortable work
                                                                                                                                     environment for people with
                                                                                                                                     disabilities

1   TOTO Guide 2018-2019
TOTO Guide 2018-2019 - Life Anew
2018
                                                                                                   2010s                                      2017
                                                                                                                                              Announced
                                                                                                                                                                 Anshin
                                                                                                                                                                 Remodeling
                                                                                                                                                                 Declaration
                                                                                                                           2014               TOTO WILL
                                                                                                                           Announced          2022
                                                                                                         2010              TOTO Global
                                                                                                         Announced         Environmental
                                                                                       2009              TOTO              Vision
                                                                                       Announced         Environmental
                                                                      2007             TOTO V-Plan       Vision 2017                                              Advancement
                                                                      Changed          2017                                                                       of WILL 2022
                                                    2006
2000s
                                                                      corporate
                                                    Established       name to TOTO
                                   2004             TOTO Universal    LTD.
                                   Established      Design
                  2003             the Philosophy   Reserch Center                                       Advancement
                  New              System for                                                            of V-Plan
  2002            Remodeling       TOTO Group
  Entered into    Declaration      Management
  operational
  agreement
  between TOTO,
  DAIKEN, and
                                                                             Embarks on business                                                       2017
  YKK AP
                                                                             development in                                                            Launched NEOREST
                                                                             Europe                                                                    NX globally
                                                                                                                         2012
                                                                                                                         Launched Drake II 1G
                                                                                                                         water-saving toilet in
                                                                                              2010                       the US
                                                                                              Launched AIR-INTM
                                                                                              SHOWER showerhead
                                                                  2008
                                                                  Launched Restroom                                                                    2017
                                                                  Item 01 (Universal
                                       2002                       Design series of public                                                              Launched the Faucet 10
                                       Launched NEOREST EX        toilets)                                                                             series of water faucets,
                                       Series with built-in                                                                                            distinguished by their
            1999                       TORNADO FLUSH                                                                                                   sophisticated designs, to
            Developed CEFIONTECT                                                                                         2013                          the global market
            technology                                                                                                   Launched Bedside
                                                                                              2011                       Flushable Toilet
                                                                                              Launched WASHLETTM
                                                                                              apricot with EWATER+,
                                                                  2009                        antibacterial
                                                                  Launched the NEOREST        electrolyzed water
                                                                  Series/SE in Europe
                                      2004
                                      Launched Furopia
            2001                      insulated thermal pot
            Launched Furopia          MAHOBIN bathtubTM
            system bathroom with      Series
            quick-drying KARARI
            floorTM.                                                                                                                              Opened TOTO Museum
                                                                                                                 2015
                                                                                                                  E stablished GALLERY
                                                                                                                   TOTO at Narita
                                                                                                                   International Airport

                                                                                                                              ©DAICI ANO

                                                       2005
                                                       Established the Kirameki
                                                       Promotion Office to further                    2011
                                                       women’s careers                                Participation in the UN
                                                                                                      Global Compact

                         CSR Activities
                                                2004
                                                Established the CSR
                                                Committee                                   2008
                                                                                            Established the TOTO Water Environment Fund in China
                         Social Contribution                              2006
                                                                          Embarked on the TOTO Acorn Reforestation Project
                                                        2005
                                                        Established the TOTO Water Environment Fund
                                                                                                           * The WASHLET, KARARI floor, MAHOBIN bathtub and AIR-IN are trademarks
                                                                                                              or registered trademarks of TOTO LTD.

                                                                                                                                                          TOTO Guide 2018-2019       2
TOTO Guide 2018-2019 - Life Anew
Businesses of TOTO
                                        Global Housing Equipment Business
    Japan Housing Equipment Business
    The TOTO Group was manufacturing seated flush toilets at a time when public sewage systems were not yet widespread in Japan, and
    it has been instrumental in promoting healthy lifestyles. The TOTO Group has opened the door to new lifestyles by creating products
    such as the WASHLETTM, the prefabricated bathroom module, and other bathroom and kitchen plumbing products.

    Main Products in Japan

    Toilets                               Prefabricated bathroom modules                 Modular kitchens                              Bathroom vanity units

       Anshin                                                                  Remodeling Library                                             Showrooms
       Remodeling
                                                                 Get helpful information!                               See, touch and experience!
                                                              - Provides examples of actual cases include                 - Proposes ideas for spaces and lets
                                                                       price information online -                                   you try products -
                                                                    http://su.toto.com/anshin-library                    http://su.toto.com/anshin-showroom

                                                                           Remodeling Pro Shop                                 Support Desk for Remodeling
       TOTO strives to further evolve remodeling
       by directly alleviating worries and                      Find a store you can trust!                            Feel free to ask for help anytime!
                                                                 - Offers the pro shops recommended                   - Answers questions and concerns by phone or email -
       concerns about renovations through
                                                                                by TOTO -                                    Tel: 0120-1917-05 (Japan only)
       ‘visualization’ and ‘understanding‘ to give                                                                         http://su.toto.com/anshin-support
                                                                    http://su.toto.com/anshin-shop
       “Anshin” to customers.

    China & Asia Housing Equipment Business / Americas & Europe Housing Equipment Business
    Our first move overseas was in 1977, when we entered the Indonesian market. Over the next 40 years we extended our network into
    many other markets around the world. In pursuing business development on a global scale, we are striving to enhance the comfort,
    hygiene, safety and security of bathroom and kitchen spaces throughout the world by working to develop products that bring a new
    sense of prosperity to the daily lives of customers in countries and regions each with their own unique environments and cultures.

    Main Products Overseas

    Toilets                               WASHLET TM (toilet seats with a warm-water     Washbasin                                     Bathtubs
                                          washing feature)

                                                          New Business Domains
    Advanced Ceramics Business                                                                Green Building Materials Business
    TOTO provides high-quality advanced ceramics, including air bearings,                     TOTO offers building materials utilizing HYDROTECT, an environmental
    electrostatic chucks, bonding capillaries and receptacles, for the                        purification technology. TOTO also enters into license agreements and
    semiconductor, FPD manufacturing and optical communications                               technology transfer contracts with companies worldwide handling
    industries.                                                                               exterior building materials (including tile, paint, metal panels, glass, and
                                                                                              architectural stone).

                                          Used in equipment to manufacture
                                          semiconductors for smartphones and                                                                                    Used as house
                                          personal computers                                                                                                    building materials
    Electrostatic Chucks                                                                      HYDROCERA WALL

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TOTO Guide 2018-2019 - Life Anew
TOTO's Mission
The TOTO Group celebrated its 100th anniversary in 2017.
To ensure we secure and retain the trust of customers and society as a whole,
we have formulated a mission with three key elements.

Global Environmental Vision
We will implement our Global Environmental Vision to realize TOTO's Mission.

TOTO will contribute to the Sustainable Development Goals (SDGs) advocated by the United Nations around the three themes
outlined in the Global Environmental Vision.
  No Poverty      Zero Hunger          Good Health      Quality          Gender        Clean Water and   Affordable and         Decent Work and     Industry, Innovation   Sustainable Development
                                       and Well-being   Education        Equality      Sanitation        Clean Energy           Economic Growth     and Infrastructure
                                                                                                                                                                           Goals are international
                                                                                                                                                                           objectives composed of 17
                                                                                                                                                                           goals and 169 targets to
                                                                                                                                                                           realize a sustainable world
   Reduced        Sustainable Cities   Responsible      Climate Action    Life Below    Life on Land      Peace, Justice and     Partnerships for
   Inequalities   and Communities      Consumption
                                       and Production
                                                                          Water                           Strong Institutions    the Goals                                 adopted by the United
                                                                                                                                                                           Nations General Assembly in
                                                                                                                                                                           2015.

                                                                                                                                                                                    TOTO Guide 2018-2019   4
TOTO Guide 2018-2019 - Life Anew
TOTO's Mission

                                                     Provide Cleanliness

    Technologies that Keep Toilets Cleanliness and Comfort
    TOTO has refined its manufacturing technology over the last one hundred years. To create clean and comfortable toilet spaces for
    our customers, we have developed a range of clean technologies unique to TOTO, such as EWATER+, CEFIONTECT, RIMLESS, and
    TORNADO FLUSH. Together, these technologies remove bacteria, prevent the buildup of dirt, and easy cleaning, resulting in toilets
    that are not only resistant to dirt and easy to clean, but also achieve new heights in cleanliness by effectively cleaning themselves.

                                                                                             EWATER +
                                                                                             Keeps water clean by removing bacteria, which can cause
                                                                                             darkening of the toilet bowl

                                                                       Remove
                                                                       bacteria

                                                                Prevent         Easy
                                                              the buildup     cleaning
                                                                 of dirt

    CEFIONTECT                                                                                      RIMLESS / TORNADO FLUSH
    A special glaze applied to the enamel ensures all waste                                         Rimless toilet bowls and a whirlpool-like flush mean toilets
    matter flushes away                                                                             are thoroughly cleaned every time

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TOTO Guide 2018-2019 - Life Anew
and Comfort for Life
Pleasant feeling for everyday use.
Our products are part of life, providing revolutionary cleanliness
and comfort for a thriving future.

                                                                                                             SDGs
                                                                                                                Good Health and      Gender        Clean Water and   Sustainable Cities
                                                                                                                Well-being           Equality      Sanitation        and Communities

WASHLET TM – Gaining Popularity                                                    TOTO’s Universal Design
Throughout the World                                                               The key principle of universal design at TOTO is to make
Launched in 1980, WASHLET has created a new lifestyle and                          products as easy and comfortable to use as possible for as many
culture for Japanese toilets. After launching in Japan, WASHLET                    people as possible. We firmly believe that the starting point for
products were introduced to the U.S. market in 1986. From then,                    universal design is to define what “easy to use” and “comfort”
we began moving forward with the installation of these products                    means. To that end, we have set out TOTO’s Five Principles of
in luxury hotels in countries throughout the world, thereby                        Universal Design, which employees always keep in mind to help
expanding our sales in China, Asia and Oceania, and Europe.                        them develop better products and improve product ideas.
As a result, cumulative WASHLET
shipments exceeded 40 million                             July 2015
                                               Cumulative sales exceed
units globally as of July 2015.                   40 million units
Today, sales of WASHLET products
                                                  Cumulative
continue to grow on a global basis.              sales exceed
                                                30 million units                   TOTO’s Five Principles of Universal Design
                                             Cumulative                            1   Easy posture and movement
                                            sales exceed
                                           20 million units                        2   Simple, easy to understand
                                                                                       operation
                                   Cumulative                                      3   Coordination to address
                                  sales exceed                                         differences and changes in users
                                 10 million units
                                                                                   4   Comfort
                 Cumulative
                sales exceed                                                       5   Safety                                     Inspection at TOTO Universal Design
               1 million units
                                                                                                                                  Reserch Center.

 Sales begin

  1980                 1990             2000              2010        2015 (FY )

                                                                                                                                                     TOTO Guide 2018-2019                 6
TOTO Guide 2018-2019 - Life Anew
TOTO's Mission

                                                                                                                                           Respect

    TOTO’s Plumbing Equipment Products Help to Protect the Environment
    The depletion of water resources is a serious global issue that TOTO has a duty to help solve as a supplier of bathroom and kitchen
    plumbing products. By promoting water-saving products, we succeeded in reducing water used by our products by 780 million m3 in
    fiscal 2017, as compared to what usage would have been had products available in 2005 continued to be sold and used, without the
    subsequent development of better performing products. At 77% of shipments (Japan/overseas), water-saving toilets (those that use
    4.8L or less per use) are steadily growing as a percent of total unit sales.

    Water-Saving Performance of Toilets
    * Water consumed per full flush

                                                                                                                   Reduced the volume of water
          C150E                                                                                            13L     per full flush by approx. 70%               3.8L
           20L
                                                                                        CS Series                                                                               NEOREST AH/RH/DH
                                                                                                                                                                                  (Floor drainage)
          Japan
                                                                                       Starting with the launch of the water-saving CS Series toilet in 1976, TOTO has been working to reduce
                                                                                       the amount of water needed to flush toilets and to remove bacteria, germs and dirt, while ensuring
                                                                                       toilets remain pleasant to use. We continue to fine tune our water-saving technology and currently sell
                    CS Series                  NEW CS Series
                                                                                       products that only require 3.8L of water per flush.
                                                   10L
                                13L                                   Restica Series
                                                                            8L
                                                                                            NEOREST A
                                                                                               6L
                                                                                                            NEOREST AH
                                                                                                                           NEOREST AH/RH      GREEN MAX
                                                                                                               5.5L                                                      NEOREST AH/RH/DH
                                       Overseas                                                                                4.8L              4.8L
                                                            U.S.                                                                                                         (Floor drainage)
                                        U.S.          One-piece toilets                     U.S. / China                                                         3.8L
                                        6L                  6L                                 4.8L                                                                      U.S. / China
                                                                                                                                                                         NEOREST GH/XH/750H

                                1976    1988       1994        1997       1999                 2006              2007           2009             2010             2012   (FY)

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TOTO Guide 2018-2019 - Life Anew
the Environment
Respect for water, earth and living.
We are a socially conscious business committed to preserving
the environment for our children.

                                                                                                             SDGs
                                                                                                                 Clean Water and       Affordable and     Climate Action       Life on Land
                                                                                                                 Sanitation            Clean Energy

What TOTO Can Do to Protect the Global Environment
The TOTO Group aims to contribute to the growth of society by creating an enriched
and more comfortable lifestyle and culture built on our products. Companies have to
fulfill their duty in both business and civic activities to effectively use water resources
and foster the sustainable growth of society in the future.
      As part of these efforts, the TOTO Group established the TOTO Water Environment
Fund and continues to provide grants to organizations that engage in environmental
activities related to water.                                                                                  Activites of the NPO Asia Child Support, an
                                                                                                              organization backed by the TOTO Water
                                                                                                              Environment Fund to draw water in Myanmar

TOTO Water Environment Fund                                                                                         Funds donated in line with environmental benefit
The TOTO Water Environment Fund established in 2005 has                        Water-saving                         Customers 	
                                                                                                                               Conserve water via TOTO products
offered assistance to environmental activities conducted by                      products                           Shareholders 	
                                                                                                                                  Donate via special benefit programs
                                                                                purchased                           Employees 	
                                                                                                                               Volunteer in greater numbers
the public throughout Japan. In 2008, we began to offer
                                                                                                                       TOTO        Matches the contributions of the three stakeholders
support to NPOs and NGOs that engage in environmental
conservation overseas and the construction of pleasant,                                                                                                                    Relationships
                                                                                                                                                                               with
sanitary lifestyle environments. This fund is broadening its                    How the TOTO Water                                                                          customers
efforts after having provided over ¥300 million in grants up                  Environment Fund works
until now to a total of 249 organizations active both in local                            – A Positive Cycle –
                                                                        Raise
communities and in the 40 prefectures throughout Japan                                                                                 Grants to citizen groups, NPOs and NGOs
                                                                    awareness of
as well as 14 different countries overseas.                        environmental                                                       Local water initiative support
                                                                       issues
                                                                                                                                        Japan 	  Aquatic environment and
 TOTO Water Environment Fund                                                                                                                      biodiversity conservation and
                                                                                      Solve problems collaboratively                              revitalization
 1st to 13th grant assistance total                                                                                                     Overseas 	
                                                                                      TOTO Group employees                                        Water resource protection and

                        ¥310
                                                                                      not only participate as                                     building of pleasant, sanitary
                                                                      Work with       volunteers but encourage                                    lifestyle
                                                                        local
           Approx.                              million              communities
                                                                                      the general public to
                                                                                      participate as well

                                                                                                                                                           TOTO Guide 2018-2019               8
TOTO's Mission

                                                       Build Relationships

    Bangkok
    TOTO Technical Center Bangkok

    Together with Customers
    The TOTO Group is upgrading its showrooms, remodeling network and after-sales services to further improve satisfaction for all
    customers. We are also using our network of directly managed showrooms overseas to highlight and explain our unique technologies
    to customers in international markets.

    Customer Consultation Centers                                  After-sales Service                                                Remodeling Network
    Customers can visit these centers to ask questions about our   We provide maintenance and repair support 365 days a year          Our system of approximately 5,000 TOTO Remodel Clubs
    products or to get a rapid response to any inquiry. We use     to ensure our customers can use our products safely with           provides customers with general support for their
    feedback from customers in product development and to          peace of mind.                                                     remodeling projects, from design proposals right through to
    improve existing models.                                                                                                          construction work.

                                                                    New York                                                            Ho Chi Minh

    Showrooms (Japan)                                              Showrooms (Overseas)
    TOTO has 100* showrooms in Japan, giving customers the         TOTO has 14* directly managed showrooms in China, other markets in Asia, Americas and Europe. (*As of September 2018)
    opportunity to see, touch and experience our products for
    themselves. (*As of September 2018)

9   TOTO Guide 2018-2019
that Enrich Life
Establishing relationships with customers to improve
lives every day.
Every day we strive to improve the customer
experience and build relationships that
last generations.

                                                                                                 SDGs
                                                                                                    Gender     Decent Work and   Responsible      Partnerships for
                                                                                                    Equality   Economic Growth   Consumption      the Goals
                                                                                                                                 and Production

Building a Better Future                                                 Creating a Collaborative Society
To help build a better society for the future, TOTO contributes to       We encourage employees to participate in volunteer activities
local communities through architecture, art, sports and other            across a wide range of fields, including Green Volunteer social
activities.                                                              contribution activities such as tree-planting and community
                                                                         cleanups.

                                                                          Total number of volunteers in fiscal 2017

                                                                                           52,300 volunteers
TOTO Museum

                                                                                                  TOTO employees cleaning beaches in Vietnam

                                                                         In human resources management, the TOTO Group respects the
                                                                         individuality inherent in a workforce that embodies diversity along
                         ©Nacása & Partners Inc.         ©Yukikazu Ito
                                                                         lines such as age, gender, and nationality. We promote diversity
                                                                         based on our belief that it gives rise to fresh, new ideas that can
Promoting architectural culture
TOTO GALLERY-MA (left), TOTO Publishing (right)                          further our desire to create prosperous and comfortable lifestyles.

                                                                                                                                  TOTO Guide 2018-2019               10
Strengths of TOTO

     Committed to Design
     Design that is understated yet perfectly in tune with the
     user. In developing products, TOTO has been steadfast in its
     pursuit of beautiful design that harmonizes perfectly with
     various types of spaces, while also delivering outstanding
     quality and functionality.
          Our latest NEOREST NX product embodies our focus on
     the use of curves to accentuate the beauty of ceramic
     sanitary ware, and our desire to create a product with an
     artistic aura. This product represents countless rounds of
     examination to ensure outstanding functionality, without
     compromising design, and painstaking efforts to eliminate
     unnecessary surface elements and spaces. In the end, we
     created a design conceding nothing at an overall or
     detailed level.
          The result of this beautiful combination of cutting-edge
     technology and design is what TOTO, a company that has
     been making ceramic sanitary ware for over a century,
     believes is the ultimate in toilet design.

                                  Design and Functionality
                                                                                 Adding Functionality to Augment
                                                                                 Beautiful Design
                                                                                 Incorporated in the beautiful design of the NEOREST NX are
                                                                                 technologies for maintaining the appearance of the
                                                                                 product and ensuring that it will provide users with the
                                                                                 expected comfort over the long term. In combination,
                                                                                 TOTO’s revolutionary TORNADO FLUSH and RIMLESS,
                                                                                 proprietary CEFIONTECT dirt-repelling technology and
                                                                                 EWATER+ achieve new heights in removing bacteria,
                                                                                 preventing the buildup of dirt, and easing cleaning.

                                                     Ordinary
                                                                    CEFIONTECT
                                                   ceramic toilet

     TORNADO FLUSH          EWATER+               CEFIONTECT

11   TOTO Guide 2018-2019
                2018-2019
Offering New Value to Customers
                                                                                 To offer the WASHLET and other TOTO products to customers
                                                                                 throughout the world, we participate in international trade
                                                                                 shows spotlighting bathroom and kitchen plumbing fixtures
                                                                                 and housing equipment. These events are held in various
                                                                                 countries across the globe.
                                                                                       Recently, we had participated in the International Sanitary and
                                                                                 Heating (ISH) 2017*1 fair held in March 2017 in Germany and the
                                                                                 Kitchen & Bath China (KBC) 2018*2 show held in June 2018 in Shanghai.
                                                                                       The concept of our exhibits expresses TOTO’s constant desire
                                                                                 to update and enrich daily life for people across the globe.
                                                                                 Through our exhibit spaces, we introduce products such as the
                                                                                 NEOREST series and TOTO proprietary technologies, including
                                                                                 ones for saving water and removing the bacteria that hinders the
                                                                                 thorough cleaning of toilet surfaces. These efforts help to
                                                                                 establish TOTO as a global brand.
                                                                                 *1 International Sanitary and Heating 2017
                                                                                 *2 Kitchen & Bath China 2018

       International Sanitary and Heating 2017 fair held in Frankfurt, Germany

Quality to Impress the World
Experiential Spaces for Promoting
Japan’s Toilet Culture and Technology
to the World
GALLERY TOTO, an experiential space located at Narita
International Airport, was opened in April 2015. The purpose of
this facility is to give foreign visitors to Japan an opportunity to                                                                                   ©DAICI ANO

see, touch, and experience the beauty and comfort of restroom                    GALLERY TOTO, an experiential space
spaces created by TOTO. It is hoped that visitors will return to
their countries with a strong desire to have a restroom space                      International Praise For TOTO
like those modeled at GALLERY TOTO.                                                The NEOREST NX as well as the GS Series and
                                                                                   GA Series of single lever lavatory faucets have
                                                                                   won the Red Dot Design Award 2018.

                                                                                   This is the second major award for         Single lever lavatory faucet
                                                                                   the NEOREST NX after receiving the
                                                                                   iF Design Award 2018 in March 2018.

                                                                                 NEOREST NX
                                                                                 The NEOREST NX is a flagship product incorporating design seen nowhere else and the
                                                                                 ultimate in clean functionality. Offered in markets throughout the world, the NEOREST
                                                                                 NX is destined to add refinement to restrooms across the globe.

                                                                                                                                                TOTO Guide 2018-2019     12
Fiscal 2017 Results

     Net sales                         ¥592.3 billion          Sales Breakdown Ratio                                          Japan     Overseas      New business domains

     Operating Profit                   ¥52.6 billion
                                                                                                                                 72%                              23% 5%

     Operating Margin                            8.9%
                                                                                           Overseas Net Sales
     ROA (Based on operating profit)             9.4%                                      by Geographic Area                         52%          23%          22%      3%

                                                                                                                               China       Asia      Americas           Europe
     ROE (Based on net profit)                  11.7%

                                                               Ratio of employees with                               TOTO Water Environment Fund
     Number of employees (consolidated)                        disabilities (Japan)                                  13th grant assistance

                         32,428                                                          2.60                  %     10 Organizations ¥   17.52                      million
     Ratio of female managers
     (total for Japan and overseas)                            Nadeshiko Brand                                       Health and Productivity Stock

                                  13.4               %
                                                               Selection for fourth consecutive year                 Selection for fourth consecutive year

     Notable Awards from 2017 Onward
     Category                                                                              Award Description

                             Awarded “architectural facility technology heritage” status in 2017 for an automatic
     Products                                                                                                                          Automatic faucet with built-in
                             faucet with built-in photoelectric sensor in the TOTO Museum.
                                                                                                                                       photoelectric sensor

                             Received the WorldStar Award for triangle partition structure for product inclination
     Packaging                                                                                                                         Triangle partition structure for product
                             at the WorldStar Competition 2018 held by the World Packaging Organisation.
                                                                                                                                       inclination

                             Received the iF Product Design Award 2018 for NEOREST NX, ZL Series single-lever
     Design
                             lavatory faucet, and Washbasin (vessel-type).
                                                                                                                                       NEOREST NX

                             Received the Red Dot Design Award 2018 for the NEOREST NX, and GS and GA                                  Single-lever
     Design                                                                                                                            lavatory faucet
                             Series of single-lever lavatory faucets.
                                                                                                                                       (GS Series)

                             Received the GREEN GOOD DESIGN AWARD in 2018 for WASHLET equipped with                                    WASHLET
     Environment                                                                                                                       equipped with
                             EWATER+.
                                                                                                                                       EWATER+

     Corporate Profile (As of March 2018)
     Company Name  TOTO LTD.                                                                Capital                    ¥35,579 million
     Headquarters	1-1, Nakashima 2-chome, Kokurakita-ku,                                   Number of Employees        Consolidated:                 32,428
                   Kitakyushu, Fukuoka, Japan                                                                          Non-consolidated:             7,960
     Establishment May 15, 1917

       More About TOTO (List of links)

                   TOTO GLOBAL SITE                                         TOTO Museum                                        GALLERY TOTO
                   https://www.toto.com                                     https://jp.toto.com/museum/en                      https://jp.toto.com/gallerytoto/en

                   WELCOME TO JAPAN
                   https://www.toto.com/en/wtjapan

13   TOTO Guide 2018-2019
Keep Gaining TOTO Fans around the World

With the Vision of Our Founder as a Touchstone
The TOTO Group, which marked its 100th anniversary in 2017,
conducts corporate activities with the aim of continuing to
provide greater contributions to society and the environment.
To this day, each and every employee has been imbued with
our founder’s will of providing a healthy and civilized way of life.
His thoughts, which have been passed down through the
generations since our founding, comprise the heart of our
manufacturing and sales activities as well as the core of our
corporate management. Providing customers around the world
with the security and reliability of the TOTO brand, my mission,
as president of the TOTO Group, is to continue to pass down our
founder’s will into the future and “create an enriched and more
comfortable lifestyle and culture built on our plumbing
products,” as stated in the TOTO Group Corporate Philosophy.

The Strengths of the TOTO Group, Cultivated over
100 Years of History
The TOTO Group was manufacturing seated flush toilets at a             realize further growth without wavering from its inherited
time when the concept of public sewage systems was not yet             corporate philosophy.
widespread. Since then, the TOTO Group has opened the door                   Our business activities cannot exist without the
to new lifestyles by creating products such as WASHLET and             cooperation and co-creation of all of our stakeholders. For the
other bathroom and kitchen plumbing products.                          TOTO Group, the primary actors are the individual employees
     This is part of a 100-year history full of challenges and         who take it upon themselves to think of how they can best
innovations, in which the TOTO Group has cultivated a set of           contribute to the benefit of customers and society. With that in
strengths—high-level fusion of design and functionality,               mind, we will increase corporate value by continuing to place
creation of new value through TOTO proprietary technologies,           great emphasis on our human resource development and
and advanced production technology and global supply                   taking on the challenge of creating prosperous and
system. However, there are more challenges and innovations             comfortable lifestyles that provide customer satisfaction.
yet to come.

For the Next 100 Years
With a strong will to keep gaining TOTO fans around the world,
the TOTO Group has taken a bold step forward toward the next                            Madoka Kitamura
100 years. TOTO will continue to promote innovation and                                 President, Representative Director

Company Mottos                                                         TOTO Group Corporate Philosophy
Company Mottos represent the thoughts of the founder to be             Our corporate philosophy, based on the thoughts of the
passed down through the generations.                                   founder to be passed down through the generations,
                    4          3          2          1
                                                                       communicates to all of our stakeholders the purpose for which
                                                                       our company exists, our business domains, and the type of
                                                                       company we aim to be.

                                                                         The TOTO Group strives to be a great company, trusted by people all
                                                                          around the world, and contributing to the betterment of society.
                                                                                      To achieve our philosophy, TOTO will:
                                                                          Create an enriched and more comfortable lifestyle and culture built on
                                                                          our plumbing products.
                                                                          Pursue customer satisfaction by exceeding expectations with our
                                                                          products and services.
                                                                          Provide high-quality products and services through ongoing research
                                                                          and development.
                                                                          Protect the global environment by conserving finite natural resources
         1   Take pride in your work, and strive to do your best          and energy.
         2   Quality and Uniformity                                       Create an employee friendly work environment that respects the
         3   Service and Trust                                            individuality of each employee.
         4   Cooperation and Prosperity

                                                                                                                              TOTO Guide 2018-2019   14
TOTO Group Overseas Business Sites (As of April 1, 2018)

U.K.
         Germany

France                                                        China
                                               Myanmar                           Korea                                               U.S.A.

                                           India
                              UAE                  Thailand                      Taiwan                                   Mexico

                                                   Malaysia                      Philippines

                                                                      Vietnam
                                                    Singapore
                                                                        Indonesia

                                                                                                                                                 Brazil

 32      Locations in       18      Countries and Territories                      Manufacturing             6         Sales sites       13   Manufacturing                13
                                                                                   and sales sites                                            sites
                                                                                   *Excluding Japan

Group Companies and Affiliates (As of April 1, 2018)

Japanese Group Companies                                                Overseas Group Companies
TOTO SANITECHNO LTD.                                                      Americas
TOTO WASHLET TECHNO LTD.                                                TOTO AMERICAS HOLDINGS, INC.
TOTO Bath Create LTD.                                                   TOTO U.S.A., Inc.
TOTO High Living LTD.                                                   TOTO MEXICO, S.A. DE C.V.
TOTO AQUATECHNO LTD.                                                    TOTO Do Brasil Distribuição e Comércio, Ltda
SUNAQUA TOTO LTD.
TOTO PLATECHNO LTD.                                                       Europe
TOTO Maintenance LTD.                                                   TOTO Europe GmbH
TOTO AQUAENG LTD.                                                       TOTO Germany GmbH
TOTO MTEC LTD.
TOTO Kansai Sales LTD.                                                    Asia
TOTO Hokkaido Sales LTD.                                                TOTO (CHINA) CO., LTD.
TOTO Tohoku Sales LTD.                                                  BEIJING TOTO CO., LTD.
TOTO Chubu Sales LTD.                                                   TOTO (BEIJING) CO., LTD.
TOTO Chugoku Sales LTD.                                                 NANJIN TOTO CO., LTD.
TOTO Shikoku Sales LTD.                                                 TOTO DALIAN CO., LTD.
TOTO Kyushu Sales LTD.                                                  TOTO (SHANGHAI) CO., LTD.
CERA TRADING LTD.                                                       TOTO EAST CHINA CO., LTD.
TOTO Remodel Service LTD.                                               TOTO (FUJIAN) CO., LTD.
TOTO Finance LTD.                                                       TOTO (GUANGZHOU) CO., LTD.
TOTO INFOM LTD.                                                         TOTO (H.K.) LTD.
TOTO BUSINETZ LTD.                                                      XIAMEN AND LIDO BATHROOM TECHNOLOGY CO., LTD. (Affiliate Company)
TOTO LOGICOM LTD.                                                       TAIWAN TOTO CO., LTD.
TOTO Fine Ceramics LTD.                                                 TOTO ASIA OCEANIA PTE. LTD.
TOTO MATERIA LTD.                                                       TOTO VIETNAM CO., LTD.
TOTO OKITSUMO Coatings LTD.                                             TOTO (THAILAND) CO., LTD.
                                                                        TOTO INDIA INDUSTRIES PVT. LTD.
                                                                        TOTO MALAYSIA SDN. BHD.
                                                                        TOTO KOREA LTD.
                                                                        P.T. SURYA TOTO INDONESIA TBK. (Affiliate Company)

TOTO LTD.
1-1, Nakashima 2-chome, Kokurakita-ku, Kitakyushu, Fukuoka, 802-8601, Japan
URL: https://www.toto.com

                                                                                                                                              Published in December 2018   No. 736
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